This is a commonly asked question by many people. Including many asks, can one or two or multiple foreign individuals come together and open a company in KSA through MISA.

The answer is YES and NO both.

Why Yes?

Technically, you could open a company by applying for the Premium residency program of the Saudi Government. The details of the same can be checked here.

Details on Premium residency – https://saprc.gov.sa/#/

But in short the program allows foreign individuals to take a Premium Residency in the Kingdom of Saudi Arabia by paying an amount of 100,000 SAR per year or a one time payment of 800,000 SAR to avail benefits under the Premium Residency, which include ability to open a company in KSA under the MISA activities list and as per guidelines of foreign investment program.

Why No?

Given the high upfront cost of applying and getting a Premium Residency – it may not be suitable or viable option for many businessmen to block 800,000 SAR one time or make a commitment of paying 100,000 SAR every year. In this case, the best way would be to setup a company as a subsidiary of your overseas company (which should have been in existence for at least 1 year, preferably more).

This way, one would avoid putting your personal name and ensure that the standard rules of MISA are followed.

Arnifi is digital first Corporate service provider helping companies enter the Middle East region, starting with UAE and Saudi Arabia markets. Founded and backed by professionals from Amazon, Souq and other large companies operating in KSA – the team understands what it takes to succeed as a startup in both UAE and Saudi Arabian markets, apart from going through the setup process multiple times.

Arnifi will provide a truly digital experience to entry and scale up of companies both UAE and Saudi Arabia. The Arnifi promise is simple, yet revolutionary, use technology and a great team to provide transparency, efficiency and great customer experience in the whole process.
Check out at – www.Arnifi.com for more details.